In the figure above, at the point where the price is $4 per cup the price elasticity of demand is
A) 2.
B) 0.5.
C) 1.
D) 1.5.
E) 0.
A
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A graphical analysis of tariffs reveals that
A. they benefit domestic consumers at the expense of domestic producers. B. their revenue gains outweigh the costs to domestic consumers. C. although the benefits are not shared equally, everyone in the domestic economy benefits from tariffs. D. they increase domestic production of the good for which imports face tariffs.
Suppose that the CPI in Thailand was 345 in 2015 and 388 in 2016. The inflation rate between those two years was approximately:
A. 11.2 percent. B. 14.3 percent. C. 12.5 percent. D. 43 percent.
Which of the following is true for a monopolist?
A) Being the only seller in the market, the monopolist faces a perfectly inelastic demand curve. B) Being the only seller in the market, the monopolist faces a perfectly elastic demand curve. C) Being the only seller in the market, the monopolist faces the market demand curve. D) Being the only seller in the market, the monopolist faces a downward-sloping demand curve that lies below the marginal revenue curve.
Policymakers may be uncertain about the structure of the economy because
A. initial releases of data may be less accurate than later data releases. B. they are not aware of modern macroeconomic modeling techniques. C. they don't know the predominant source of shocks to the economy. D. they don't know how shocks affect people's expectations.